Shifts N Movements

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The document summarizes Chapter 3 of an economics textbook on the supply and demand model. It introduces the concepts of supply and demand curves, and how the interaction of supply and demand determines the equilibrium price in a market. It then discusses how shifts in supply or demand curves affect the equilibrium price, and how price controls like price ceilings and floors can cause surpluses or shortages by interfering with the market mechanism.

Copyright © 2001 by Houghton Mifflin Company. All rights reserved. Economics THIRD EDITION By John B. Taylor Stanford University

Copyright © 2001 by Houghton Mifflin Company. All rights reserved. Chapter 3 The Supply and Demand Model

Overview ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Teaching Objectives ,[object Object],[object Object],[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Teaching Objectives (Cont.) ,[object Object],[object Object],[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Demand ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Demand ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.1 The Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Demand ,[object Object],[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Shifts in the Demand Curve ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.2 A Shift in the Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Shifts versus movements ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.3 Shifts versus Movements Along the Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

2. Supply ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.4 The Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Supply ,[object Object],[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Shifts in Supply Curve ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.5 A Shift in the Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Shifts versus Movements ,[object Object],[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.6 Shifts versus Movements Along the Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.7 Overview of Supply and Demand Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

3. Market Equilibrium: Combining Supply and Demand ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.8 Equilibrium Price and Equilibrium Quantity Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Equilibrium ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

4. Using the Supply and Demand Model: A Case Study ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.9 Effects of a Shift in Demand Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.10 Effects of a Shift in Supply Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

5. Interference with Market Prices ,[object Object],Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.11 Peanut Production in the United States Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.12 Supply and Demand for Peanuts Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.13 Effects of a Drought in the Southeast Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

Figure 3.14 Predicted Effects of an Increase in the Peanut Quota Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

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Shifts N Movements

1. Copyright © 2001 by Houghton Mifflin Company. All rights reserved. Economics THIRD EDITION By John B. Taylor Stanford University

2. Copyright © 2001 by Houghton Mifflin Company. All rights reserved. Chapter 3 The Supply and Demand Model

3.

4.

5.

6.

7.

8. Figure 3.1 The Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

9.

10.

11. Figure 3.2 A Shift in the Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

12.

13. Figure 3.3 Shifts versus Movements Along the Demand Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

14.

15. Figure 3.4 The Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

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18. Figure 3.5 A Shift in the Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

19.

20. Figure 3.6 Shifts versus Movements Along the Supply Curve Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

21. Figure 3.7 Overview of Supply and Demand Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

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23. Figure 3.8 Equilibrium Price and Equilibrium Quantity Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

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25.

26. Figure 3.9 Effects of a Shift in Demand Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

27. Figure 3.10 Effects of a Shift in Supply Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

28.

29. Figure 3.11 Peanut Production in the United States Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

30. Figure 3.12 Supply and Demand for Peanuts Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

31. Figure 3.13 Effects of a Drought in the Southeast Copyright © 2001 by Houghton Mifflin Company. All rights reserved.

32. Figure 3.14 Predicted Effects of an Increase in the Peanut Quota Copyright © 2001 by Houghton Mifflin Company. All rights reserved.